Upon putting everything back together it seems as if there has has always been a small space between the clutch centre (basket) and the clutch chainwheel. This allows for small horizontal movement between the two pieces even when everything is tightened down. I think the clutch centre is held slightly spaced from the chainwheel by the hub. Is this so the clutch centre can spin independently from the chain wheel without friction? Or am I missing a piece?

FYI the chainwheel is fitting perfectly against the hub. Thanks again guys

email (option): jeff.robbins75@gmail.com

Yes, you are correct , the center is fixed to the mainshaft, the outer chainwheel spins freely on it's roller bearings. Add some clutch plates and a big spring in the middle to lock them together under tension and you have a clutch.Pulling the clutch lever pushes the pushrod, lifts the plate in the middle of the clutch and compresses the spring even more, thereby disengaging the clutch plates.
Without the primary chain or clutchplates installed, the chainwheel should freewheel with ease.
Unlike say, a late model A65, the plates don't bear on the chainwheel, they run on the flange of the center part so there is no thrust washer installed between the chainwheel and hub center, so it sounds like you have it all together properly.

So when I had put everything together, and tightened down the spring with the clutch plates. You could pull horizontally on the chain wheel and it would move slightly horizontally until It hits the back of the clutch centre. Not a ton of movement but just a hair and I wanted to make sure this is okay? Thanks again

email (option): Jeff@infinitymedspa.com

Yes, sounds right. There may be some rocking of the chainwheel when fully assembled, but not excessive. I don't know if there are any published specifications as to what is acceptable. Any wear of the bearings will amplify the movement. As long as it's "within acceptable limits"

thanks for all of the help

email (option): jeff.robbins75@gmail.com